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ag21

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Is it a good idea to take out a debt consolidation loan to pay off credit cards?
My wife and I both have low credit scores and high credit card debt. Would taking out a debt consolidation loan to pay off maxed out credit cards hurt my score? Or would my score increase because the credit card utilization % would basically be zero.

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High credit card debt just migh prevent getting a loan.  Have you thought og doing a 'balance transfer' to at least one credit card that offers 0% for no less than 12 months?  I did that a couple of years ago and the savings on the interest alone made a huge difference.  You would be paying interest from the very start on a loan but doing a balance transfer will save money and help you toget the bills paid in fullmuch faster.  And don't close the credit cards that you are transferring balances from.  Keep them locked up safely, tobe used sparingly.  Your score is likelyto go up this way.  Please re-read the articles on credit here. 

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